Securities code: Shenzhen Kingkey Smart Agriculture Times Co.Ltd(000048) securities abbreviation: Shenzhen Kingkey Smart Agriculture Times Co.Ltd(000048) Announcement No.: 2022007 Shenzhen Kingkey Smart Agriculture Times Co.Ltd(000048)
Announcement on the renewal of accounting firm
The company and all members of the board of directors guarantee that the information disclosed is true, accurate and complete without false records, misleading statements or major omissions.
On March 15, 2022, the second meeting of the 10th board of directors of Shenzhen Kingkey Smart Agriculture Times Co.Ltd(000048) (hereinafter referred to as "the company") deliberated and adopted the proposal on renewing the appointment of accounting firms. The relevant matters are hereby announced as follows:
1、 Explanation on the renewal of accounting firm
After the deliberation and approval of the company's 2020 annual general meeting, the company hired Dahua Certified Public Accountants (special general partnership) (hereinafter referred to as "Dahua firm") as the audit institution for the company's 2021 financial statements and internal control. In the course of practice, Dahua firm is diligent and responsible, adheres to the audit principles of independence, objectivity and fairness, earnestly performs the responsibilities of the audit institution, and protects the legitimate rights and interests of the company and shareholders from a professional perspective. In order to maintain the stability and continuity of the audit work, the company plans to continue to employ Dahua firm as the audit institution for the financial report and internal control of 2022, and submit to the general meeting of shareholders to authorize the company's management to negotiate with Dahua firm to determine the relevant audit fees according to the market price and audit workload.
2、 Basic information of the accounting firm to be renewed
(I) institutional information
1. Basic information
(1) Organization Name: Dahua Certified Public Accountants (special general partnership)
(2) Organization form: special general partnership
(3) Date of establishment: February 9, 2012
(4) Registered address: 1101, building 7, yard 16, Middle West Fourth Ring Road, Haidian District, Beijing
(5) Chief partner: Liang Chun
(6) As of December 31, 2021, Dahua firm has 264 partners and 1481 certified public accountants, including 929 certified public accountants who have signed the audit report of securities service business.
(7) The total business income of Dahua office in 2020 was 2520553200 yuan, including 225357800 yuan from audit (including securities) business and 1095351900 yuan from securities business.
(8) In 2020, Dahua office audited 376 listed companies, covering the main industries including manufacturing, information transmission, software and information technology services, real estate, wholesale and retail, construction, etc., including 10 audit clients of Listed Companies in the same industry. The annual report audit fees of Listed Companies in 2020 totaled 417257200 yuan.
2. Investor protection ability
The sum of the cumulative compensation limit of the occupational risk fund and the occupational insurance purchased by Dahua office exceeds RMB 700 million, and the occupational risk fund withdrawal or occupational insurance purchase complies with relevant regulations. In recent three years, Dahua office has not been required to bear civil liability due to civil litigation related to practice.
3. Integrity record
In the past three years, Dahua office has received 0 criminal punishment, 1 administrative punishment, 24 supervision and management measures, 0 self-discipline and supervision measures and 2 disciplinary sanctions for its practice; In recent three years, 54 employees have been subject to criminal punishment for 0 times, administrative punishment for 1 time, supervision and management measures for 25 times, self-discipline and supervision measures for 0 times and disciplinary punishment for 3 times.
(II) project information
1. Basic information
Project partner: Xue Qiming, who became a certified public accountant in February 2000, joined Dahua firm in February 1997 and engaged in the audit of listed companies. He began to provide audit services for the company in January 2020; Signed audit reports for 6 listed companies in the past three years.
Signed certified public accountant: Shi Changzhen, who became a certified public accountant in December 2006, began to audit listed companies in March 2016, began to practice in Dahua firm in December 2018, and began to provide audit services for the company in January 2021; Signed audit reports for three listed companies in the past three years.
Reviewer of project quality control: Fang Jianxin, who became a certified public accountant in December 1998, began to audit listed companies and listed companies in July 1994, began to practice in Dahua firm in June 2011 and began to review in December 2021. More than 20 audit reports of listed companies and listed companies have been undertaken or reviewed in recent three years.
2. Integrity record
The project partners have been subject to administrative supervision measures once in recent three years, as follows:
Name, date of punishment, type of punishment, reason of implementing unit and punishment
In the audit item of Risen Energy Co.Ltd(300118) not issuing convertible corporate bonds to specific objects of the CSRC, Xue Qiming issued a warning letter on June 25, 2021. For the purpose of Ningbo regulatory bureau, the letter of commitment issued by him did not truthfully explain the relevant situation, The decision on administrative supervision measures issued by Ningbo regulatory bureau of China Securities Regulatory Commission.
The signing certified public accountants and project quality control reviewers have not been subject to criminal punishment, administrative punishment, supervision and management measures by the CSRC and its dispatched offices, industry competent departments, or self-discipline supervision measures and disciplinary sanctions by self-discipline organizations such as stock exchanges and industry associations in recent three years.
3. Independence
Dahua firm, project partners, signed certified public accountants and project quality control reviewers can maintain their independence when performing the annual audit of the company, and there is no situation that may affect their independence.
4. Audit fees
In 2021, the company's audit fee was 1.47 million yuan (excluding tax, including annual report audit fee of 1.17 million yuan and internal control audit fee of 300000 yuan), which was the same as that of the previous year.
The pricing principle is: the service fee shall be charged according to the number of working days required by Dahua firm to provide audit services and the charging standard of each working day. The number of working days shall be determined according to the nature and complexity of audit services; The charging standard of each working day shall be determined respectively according to the professional skill level of practitioners.
3、 Description of the procedures for the renewal of the accounting firm
(I) performance of the audit committee
The audit committee of the 10th board of directors of the company conducted full investigation, review, analysis and demonstration on the professional qualification, investor protection ability, employee information, business experience, integrity records and the work during the period of serving as the audit institution of the company in 2021, Considering that Dahua firm has the professional qualification and ability to be competent for the company's audit work in 2022, we agree to propose to the board of directors to reappoint Dahua firm as the audit institution of the company's financial report and internal control in 2022.
(II) prior approval and independent opinions of independent directors
Prior approval opinion: Dahua firm has relevant practice certificates and qualifications to engage in Securities and futures related businesses, and has sufficient independence, professional competence and investor protection ability. During the period of serving as the company's audit institution in 2021, Dahua firm was able to adhere to the audit principles of independence, fairness and objectivity, and better completed various audit work. The continued employment of Dahua firm as the company's audit institution in 2022 is conducive to continue to ensure the quality of the company's annual audit work and protect the interests of the company and all shareholders. Therefore, we agree to submit the matter to the board of directors of the company for deliberation.
Independent opinion: after verification, Dahua firm has rich audit experience of listed companies and sufficient independence and professionalism. In the process of providing annual audit services for the company, Dahua firm can express audit opinions in a fair and objective manner. The procedures for the company to renew the appointment of an accounting firm comply with the provisions of relevant laws, regulations and the articles of association, and there is no situation that damages the interests of the company and all shareholders, especially the interests of minority shareholders. Therefore, we agree to renew the appointment of Dahua firm as the auditor of the company's financial report and internal control in 2022, and agree to submit the matter to the general meeting of shareholders of the company for deliberation.
(III) deliberation and voting of the board of directors
The second meeting of the 10th board of directors of the company deliberated and adopted the proposal on renewing the appointment of accounting firm with 10 affirmative votes, 0 negative votes and 0 abstention votes, and agreed to renew the appointment of Dahua firm as the audit institution of the company's financial report and internal control in 2022.
(IV) effective date
The renewal of the accounting firm needs to be submitted to the general meeting of shareholders of the company for deliberation and effective from the date of deliberation and approval by the general meeting of shareholders of the company.
4、 Documents for future reference
1. Resolutions of the second meeting of the 10th board of directors;
2. Resolutions of the fourth meeting of the audit committee of the 10th board of directors;
3. Prior approval opinions of independent directors on the renewal of the accounting firm;
4. Independent opinions of independent directors on matters related to the second meeting of the 10th board of directors;
5. Relevant certification materials of Dahua Certified Public Accountants (special general partnership) and signed certified public accountants. It is hereby announced.
Shenzhen Kingkey Smart Agriculture Times Co.Ltd(000048) board of directors March 15, 2002
